Endonovo Therapeutics said it raised $10 million in a private placement with an unnamed investor.
The Woodland Hills, Calif.-based company is developing non-invasive, electromagnetic therapies with time-varying electromagnetic fields to regenerate tissue and organs that have been damaged by age or disease.
The 7% promissory note, set to expire in 2019, gives the investor 20% of the company in common stock and the right to name a director to the board.
Endonovo can repurchase the stock from the investor for $40 million for a combination of cash, notes, and/or common stock. The funds are expected to be put towards “working capital, research and development, clinical trials, FDA approval and the commercialization of TVEMF technologies,” according to a press release.